Michael Bloomberg

DEFINITION of 'Michael Bloomberg'

Michael Bloomberg is one of the wealthiest person in the world with an estimated net worth of $34.8 billion in 2014 according to Forbes. He amassed his fortune from his global company Bloomberg LP, the well-known financial news and information service. He owns 88% of the company.

Bloomberg was born in 1942 outside Boston and grew up in Medford, Massachusetts. He earned an undergraduate degree in electrical engineering from Johns Hopkins in 1964, which he paid for by working as a parking lot attendant and taking out loans. He earned an MBA from Harvard Business School in 1966.

BREAKING DOWN 'Michael Bloomberg'

In 1966, he began working in New York at the now-defunct Salomon Brothers, a Wall Street investment bank, where he counted bond and stock certificates in the bank’s vault. He moved up to bond trading, then became a partner in 1972. Salomon Brothers demoted him from his position of head of equity trading and sales in 1979 and moved him into computers. In 1981 when the company went public, Bloomberg received a $10 million severance package.

He then founded an information technology company called Innovative Market Solutions that gave traders information about the market for Treasury bonds. Merrill Lynch became a major client and investor in 1982. This company grew into what is today Bloomberg LP.

Bloomberg ran for mayor of New York in 2002, switching from Democrat to Republican because he thought it would help him stand out as a candidate. He wasn’t expected to win in a Democrat-dominated city, but went on to be mayor of New York for three terms, from 2002 through 2013. During this time he stepped down as CEO of his company and worked to fix the city’s public school system and revitalize its old industrial areas. He implemented a citywide smoking ban in all indoor offices and at parks and beaches and helped the city reduce welfare recipients by 25%. He changed legislation to allow himself to run for a third term and spent $90 million of his own money on that campaign.

He and his former wife, Susan Brown, have two children. His charity, Bloomberg Philanthropies, is focused on donating to public health, arts and culture, the environment, government innovation and education, and he has donated more than $2.4 billion of his wealth over the years.

RELATED TERMS
  1. Bloomberg Terminal

    A computer system that allows investors to access the Bloomberg ...
  2. Peter Lynch

    One of the most successful and well known investors of all time. ...
  3. Henry Paulson

    Henry Paulson served as the 74th U.S. Secretary of the Treasury. ...
  4. Sheldon Aldeson

    Sheldon Aldeson, chairman and CEO of Las Vegas Sands Corp., is ...
  5. Mark Zuckerberg

    Self-taught computer programmer and self-made multi-billionaire ...
  6. Invisible Hand

    A term coined by economist Adam Smith in his 1776 book "An Inquiry ...
Related Articles
  1. Markets

    Bloomberg Stock Doesn’t Exist; Here is Why

    Look at why there is no Bloomberg LP stock, including a review of the company's history, products, ownership and major competitors.
  2. Entrepreneurship

    Top 3 Billionaires Living In New York City

    Take a look at the careers of New York City's three most successful and famous billionaires: David Koch, Michael Bloomberg and Carl Icahn.
  3. Investing News

    How Bloomberg Makes Billions (Hint: Not Just News)

    A look at the inner workings of one of Wall Street's most secretive (yet most important) private companies.
  4. Economics

    Trump vs. Bloomberg: How They Compare

    If Bloomberg enters the presidential race how will he compare to billionaire brethren Trump?
  5. Active Trading Fundamentals

    Five Minute Investing: Know Yourself

    As you have probably seen by now, the emotions and predispositions we are all imbued with tend to work against us in the world of aggressive investing. Often to succeed in this business we need ...
  6. Trading Systems & Software

    Beginner's Guide To The Bloomberg Terminal: Conclusion

    This basic guide to Bloomberg has provided an introduction to one of the most practical tools participants in the financial markets can use. Unfortunately, Bloomberg can be expensive, which means ...
  7. Trading Systems & Software

    Top Bloomberg Tools For Financial Analysis

    Market leader Bloomberg offers lots of tools; some are better for traders, some for financial analysts. Here are the top Bloomberg tools for the latter.
  8. Trading Systems & Software

    Beginner's Guide To The Bloomberg Terminal: Introduction

    Welcome to the Beginner's Guide to Bloomberg. This portion of the guide is aimed at new Bloomberg users, and will provide an overview of how to use a Bloomberg terminal. If you are a more experienced ...
  9. Trading Systems & Software

    Beginner's Guide To The Bloomberg Terminal: Tips And Tricks

    Because Bloomberg has such a robust suite of analytics and market capabilities, getting the system to do what you want it to can be a challenge, at least until you become familiar with it. Fortunately, ...
  10. Trading Systems & Software

    Bloomberg Vs Morningstar: Key similarities & Differences

    Bloomberg and Morningstar are established leaders in financial industry. They're similar but certainly not identical. Investopedia offers crib notes.
RELATED FAQS
  1. How did Warren Buffett get started in business?

    Warren Buffett may have been born with business in his blood. He started saving while other children were at the playground, ... Read Answer >>
  2. What schools did Warren Buffett attend on his way to getting his science and economics ...

    Learn how Warren Buffett became so successful through his attendance at multiple prestigious schools and his real-world experiences. Read Answer >>
  3. What is the difference between diversification and hedging?

    Learn what diversification and a hedge are, how investors can diversify and hedge their investments, and the main difference ... Read Answer >>
  4. Who are Morningstar's (MORN) main competitors?

    Research Morningstar's largest competitors in order to better understand the company's position in the financial information ... Read Answer >>
  5. How are risk profiles and speculation related?

    Learn more about risk profiles and speculation, why speculators should assess their risk profiles and how risk profiles and ... Read Answer >>
  6. How can an investor profit from a fall in the utilities sector?

    Learn how an investor can profit from a fall in the utilities sector by employing speculation methods such as short selling ... Read Answer >>
Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center